Crazzyblockk2023-12-30

Modified ELR Introduction

In this metric, for a better understanding of the data related to the Bitcoin derivatives market, the total reserve of assets such as Bitcoin, USDT, USDC, and several Stablecoins on exchanges, serving as the primary liquidity factor, is calculated alongside the Open interest. This data will help you comprehend the dollar reserve and its changes on centralized exchanges. By comparing it with derivatives Open interest, you can gain more insights into the emotions and leverage used in exchanges. In this Modified version, instead of solely calculating the dollar reserve of Bitcoin, multiple top market Stablecoins, crucial for spot buying or participation in derivative market contracts, are involved in the total exchange reserves. This metric provides a better perspective on the supply and demand situation. Considering that all calculated reserves in the metric have the potential for use as collateral in future transactions, in conjunction with Open interests, it offers a better understanding of the heating dynamics or the Natural trend in future markets.